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Connected TV and over-the-top video reign supreme in Asia, says AOL


By Charlotte McEleny, Asia Editor

March 10, 2016 | 2 min read

Connected TV and over-the-top video (OTT) account for almost 25 per cent of video budgets in Southeast Asia, according to new AOL research. This is a significant amount as, comparatively, it represents around 16 per cent in the US and 5 per cent in Australia.

The research polled brands, agencies and publishers across the Southeast Asian region and revealed that the majority (over 75 per cent) were increasing their digital video budgets.

AOL said the shift in budgets most commonly meant a decrease in budgets elsewhere, specifically in display, search and TV. Despite this, of those making cuts to budgets like TV, the impact was negligible as most would be cutting by less than 10 per cent.

For programmatic video, the research revealed that 50 per cent had adopted automated technology into its buying strategies.

Alex Khan, managing director of AOL Asia, said, “In some parts of the world the early days of programmatic was seen as little more than a platform for real-time bidding. The respondents in Southeast Asia recognise the technology is capable of so much more, with a large proportion saying its key capability is for data-led audience buying and selling. It demonstrates the understanding this region has of the opportunity programmatic provides. That should make the next few years very positive for publishers with video inventory.”

Mobile was also a key growth area for brands in Southeast Asia, with publishers saying sales has grown over 25 per cent in 2015. However, much like in other markets around the world, AOL warned that the medium faced hard challenges, such as; buyers indicating demographic targeting, cross-device campaigns, and attribution.

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